Rising rates tend to slow growth as borrowing costs become more expensive and portfolio investors sell equities for higher yielding Brazilian government bonds.

FORBES: Economic Weakness May Postpone Brazil Rate Hikes

The effect is akin to putting every last dollar of your portfolio to work and then borrowing another 5% to buy more stocks.

FORBES: Magazine Article

Portfolio rebalancing could bring down private borrowing costs.

ECONOMIST: Quantitative easing: QE, or not QE? | The

His Web site shows his portfolio posting wild swings between profits to losses, reflecting the risks of borrowing shares that are sold short: If the shares rise too much during the several months that Middleton typically hangs on, he might have to buy them back at higher prices.

FORBES: Magazine Article

One of the drawbacks of borrowing from your retirement plan is that the loan amount is no longer being invested in the portfolio of assets in your retirement account and, therefore, the opportunity for diversification using that amount is lost until the amount is returned to the plan.

FORBES: Should You Borrow From Your Retirement Plan?

The most fundamental is that within a few years existing and new issue government debt may absorb all private savings (corporate and household) in Japan, making foreign borrowing inevitable and creating a terrifying scenario of higher yields demanded by foreigners raising MOF interest costs while inflicting portfolio losses on JGB holders, and putting fiscal balance further (infinitely?) beyond reach, with (by then) predictably horrendous consequences.

FORBES: IMF Raises Alarms over Japan's Dangerous Fiscal Course